Honda will invest a total of about 5 trillion yen ($46.3 billion) in R&D initiatives, including electrification, over the next six years, regardless of sales revenue fluctuations, said CEO Mibe
Auto major Honda Motor Co. is planning to shoot up the ratio of its electric vehicles and fuel-cell vehicles to form 100 per cent of all sales by 2040, announced CEO Toshihiro Mibe.Â
As per a Reuters report, the company estimates that EVs and FCVs could account for 40 per cent of sales by 2030 and 80 per cent by 2035 in all major markets, including North America and China.
Amidst global efforts to curb carbon emissions, Japanese Prime Minister Yoshihide Suga had recently stated that the country would be targeting to cut its emission levels by 46 per cent by 2030. Honda’s move comes in the wake of this announcement.Â
Honda will invest a total of about 5 trillion yen ($46.3 billion) in R&D initiatives, including electrification, over the next six years, regardless of sales revenue fluctuations, said Mibe.Â
Internationally, Honda and General Motors (GM) will introduce two jointly-developed large-sized EV models in North America using GM’s Ultium batteries in 2024 and will launch a series of new EV models which feature a new EV platform dubbed e:Architecture.
In Japan, Mibe said it was aiming for EVs and FCVs to account for 20 per cent of sales by 2030 and 80 per cent by 2035. Honda will include hybrid vehicles in its 2040 target, said Mibe, citing that changing conventional cars to hybrid is a “realistic solution” for the domestic market.
Mibe also added the company also aimed to include advanced driver-assistance systems in all of its models in major markets by 2030.
